Any body know how much of a hold back my dealer is getting on my 04.5 slt QC lwb 4x4....Is there a certain percentage point.
the vehicle is an ordered vehicle if that makes a difference

 

I believe the holdback is 3% of the MSRP, regardless of what the vehicle is actually sold for or special order or not.

 

Holdback is 3% of MSRP not including destination charges.

 

In addition to the 3% holdback there is another $200-$500 per unit in factory to dealer money depending on how the dealer is meeting their monthly sales objectives. As much as some dealers may cry they are NOT giving these trucks away. That means a high volume dealer could be making as much as $1800 selling you a loaded 4x4 Laramie QC selling at invoice! BTW this was told to me by a sales manager.

 

Let em make alittle money. I don't work for free....do You?
$1800.00 profit on a $42,000 truck is still a pretty slim profit margin.
At 4% you'd better be moving some inventory.

 

I don't begrudge a business making a profit. Heck, I run a small business. That's what it's all about. And I won't shed a tear if they don't either. Their choice. However I have a big problem with the whole industry's misrepresentation of things like "Dealer Invoice", "Dealer Cost", etc. The whole concept of dealer invoice is false and misleading. Just look at the overhead of any dealership and common sense will tell you they'd be out of business in a hurry if they sold trucks for just $100 profit. That's what they'd have you believe if you paid $100 over "Invoice" when it's really much more than that.

If everyone knows what holdback and factory dealer incentives are then I mispoke. I'm just sharing the truth so that consumers like us aren't misled into thinking that the invoice price is anything but an arbitrary number used solely for negotiations and has nothing at all to do with the cost to the dealer. Who knows what the profit margin is? I just know it's not what I'm led to believe.

And I'm sure the dealer sold me a 4.5 with a smile for $1000 below invoice wouldn't have done it if they weren't making a nice profit on me.